STRATEGIC PARTNERS
April 14, 2003
SHANGHAI, China -- The Industrial and Commercial Bank of China (ICBC)'s move to charge its cardholders two yuan (about 24 cents) for each ATM withdrawal from a non-ICBC machine has sparked complaints, according to a report in Shanghai Daily News.
According to a Daily News survey, most local residents said ICBC shouldn't collect charges on cross-bank withdrawals. "I usually go to the ATM closest to my home to withdraw money several times every month, but I have to pay two yuan each time as the ATM belongs to the Bank of China," said a resident surnamed Zhao.
ICBC is the last of China's "Big Four" commercial banks to charge for foreign ATM withdrawals, joining China Construction Bank, Bank of China and Agricultural Bank of China.
Other commercial banks are expected to follow suit, said Lu Jun, a financial expert. The bank with the largest number of ATMs will come out the winner, Lu said.
The move will also likely reduce the number of cards issued, Lu said. Many locals have up to 10 bank cards, but only use one or two of them, according to the Daily News.
According to statistics from the China UnionPay Co Ltd, 20.4 million bank cards were issued in Guangzhou by the end of February this year, with each Guangzhou resident having two bank cards on average. At least 40 percent of the cards were not used, the statistics indicated.
